12.17.09
Posted in General at 2:10 pm by Mark Leahy
The Wall Street Journal reported today that the U.S. Senate will not vote to extend estate taxes before they are scheduled to go away (for a year) on January 1. As a result, under the 2001 tax reform, there will be no federal estate tax due for deaths in 2010, but in 2011 they will return at a 55% top rate on estates over only $1 million. All is not grand for taxpayers since the 2001 law also limits step-up in basis on death to $3 million on assets passing to a spouse and $1.3 million on assets passing to anyone. Planning for capital gains may become more complex than planing for estate taxes was.
Permalink
12.04.09
Posted in General at 8:04 am by Mark Leahy
The House of Representative voted on Dec. 3 to permanently extend the current $3.5 million estate tax threshold and 45% tax rate on estates exceeding that amount. The Senate has until Dec. 31 before federal estate taxes go away for a year and then come back with an exemption of only $1 million. http://voices.washingtonpost.com/capitol-briefing/2009/12/house_votes_to_make_current_es.html?hpid=topnews
Permalink
01.16.09
Posted in General at 9:59 am by Mark Leahy
On January 15 Gov. Deval Partick signed into law the long-awaited Massachusetts probate and guardianship law reform and codification. The official designation is Chapter 521 of the Acts of 2008. The enactment came on the last possible day for the 2008 legislative session.
The effective dates are delayed to give the courts, lawyers and the public time to adjust to the changes from current procedures. The guardianship section of the code (Article V) will become effective on July 1, 2009. The remaining parts relating to estates and trusts will become effective on July 1, 2011.
There will be many opportunities to get up to date on the changes through CLE before the effective dates and we’ll review as many of the new features of the Code as we can right here. Please give us your comments and questions and we’ll try to respond to all.
And a big thank you to all (and there are many) who made this possible.
Permalink
01.15.09
Posted in General at 1:56 pm by Mark Leahy
Estate and guardianship law and procedure in Massachusetts have been significantly modernized by the enactment on January 15, 2009 of the first comprehensive codification of probate law in the Commonwealth.
The new Massachusetts Probate Code introduces a flexible system for administering estates of deceased persons, permitting as little or as much oversight by the Court as may be appropriate for the needs of families inheriting wealth.
The time needed to open a probate will be shortened while at the same time the protections available for beneficiaries will be increased by enactment of a new optional informal probate system currently available in many other states. Estates may be more quickly and efficiently administered in the vast majority of situations where no controversy exists. Privacy of family financial information will also be protected. Surviving spouse’s rights are improved while also protecting shares of estates for children of prior marriages.
Guardianships for incapacitated persons will be more protective of their individual rights. Individuals subject to guardianship proceedings will no longer be stigmatized by reference to a “mentally illness” and loss of personal rights will be limited as circumstances require. Greater disclosure of a person’s needs and limitations will be needed before a guardian may be appointed and guardians will be required to make regular reports of the care and condition of their wards.
The Massachusetts Probate Code was drafted and sponsored by the Massachusetts Bar Association and the Boston Bar Association and is a joint effort of judges, Registers of Probate and guardianship public interest groups.
Permalink